MPUC Comments to FCC on Broadband Funds
April 17, 2009
April 17, 2009
Marlene H. Dortch (filed electronically)
Office of the Secretary
Federal Communications Commission
445 12th Street, SW
Suite TW-A325
Washington, DC 20554
Competition Policy Division (filed by email)
Wireline Competition Bureau
Federal Communications Commission
445 12th Street, SW
Washington, DC 20554
Spectrum & Competition Policy Division (filed by email)
Wireless Telecommunications Bureau
Federal Communications Commission
445 12th Street, SW
Portals 1
Washington, DC 20554
Re: GN Docket No. 09-40
Dear Secretary Dortch:
The Maine Public Utilities Commission (MPUC) submits the following comments in response to the March 24, 2009, Public Notice published in the Federal Register by the Federal Communications Commission (FCC) regarding the FCC’s consultative role in the Broadband Technology Opportunities Program (BTOP), which is to be administered by the National Telecommunications and Information Administration (NTIA) and the Rural Utilities Service (RUS) pursuant to the American Recovery and Reinvestment Act of 2009 (ARRA or Recovery Act). In accordance with the instructions in the Public Notice, we provide brief summary comments, in letter format, which are essentially identical to those filed with the NTIA and RUS on the key questions set forth in the Federal Register publication by those agencies. Attached as an Appendix to this letter are our responses to the specific questions posed by the FCC in order to receive input on its role in consulting with the NTIA and RUS.
Unserved Areas
ARRA funds should be awarded to projects that will provide facilities-based access to the Internet at download speeds of not less than 1 mb/second. Communities where access at that speed is not available, or where the only option for connection is via dial-up or satellite service, should fall within the definition of unserved area.
Identification of unserved areas should be without regard to how those areas might be commonly classified in terms of municipal or political subdivision boundary. To a citizen unable to access the Internet, the name or boundary of a city, town, subdivision, or road is irrelevant. Projects which target unserved areas– even areas as small as a single road – should be eligible for ARRA funding.
Evaluation and Ranking of Broadband Stimulus Proposals by the State of Maine.
To put ARRA funds to their most efficient use, and to ensure that the economic stimulus effect of such funds is felt immediately, the NTIA and RUS must solicit from the States concrete evaluations of actual projects and proposals. At this moment, in Maine, both the ConnectME Authority and the MPUC are uniquely situated to assess how well an individual project will fit into state-wide broadband infrastructure needs and the existing plans for providing access to unserved areas of the State. Either or both of these agencies could readily be designated by the Governor to fulfill this role. These agencies recognize that the need for robust and affordable “middle-mile” or “backhaul” connections are as important as “last mile” projects in order to expand broadband coverage to unserved areas of the State. These Maine agencies understand the relative advantages of various technologies and are capable of assessing competing projects from the perspective of technological neutrality.
The State of Maine can also efficiently review and rank public and private proposals submitted to the NTIA and RUS. A Maine-centric assessment would consider factors such as the unique geographic, population, and economic characteristics of the unserved area to be addressed by a given proposal. The actual experience within the State of the entity seeking funding, both in terms of cost-effectiveness and technological competence, is also likely to be known by Maine agencies.
Maine agencies will also identify those projects that are likely to have the greatest potential impact on economic development within the State. Maine is therefore in the best position to evaluate potential projects in terms of the immediate employment and other economic benefits that will be generated by selecting projects that are ready to commence, and be completed, in a short time horizon. The State is also able to determine whether a particular project is likely to contribute, in a lasting way, to other economic development initiatives in that pertinent unserved area. In this regard, Maine has experience reviewing broadband build-out plans, awarding grants, and encouraging economic development in areas where access to broadband has been enhanced.
The State will prove to be invaluable to the NTIA and RUS in helping to determine whether a particular, federally funded project will be sustainable once those federal funds are fully expended. The State is also capable of monitoring the progress of projects underway and of providing reports and recommendations regarding the continued funding needs, if any, of an ongoing project.
Coordination of New ARRA Funded Broadband Projects with Existing Projects within the State of Maine
NTIA, RUS and FCC must be careful not to penalize Maine for the fact that the MPUC has already obtained from the dominant service provider in the State an enforceable commitment to build-out its broadband infrastructure. Specifically, the MPUC imposed, as a condition of its approval of the recent purchase by FairPoint Communications of Verizon’s service territory in Maine, a requirement that FairPoint expend, over a five-year period, a fixed sum to increase its broadband penetration in the State.
FairPoint should be encouraged to fully compete for ARRA funding for a project that would accelerate the timeline and enlarge the geographic scope of its previous commitments to the State. Thus, the use of Federal funds to expedite or expand previously planned (shovel ready) projects by FairPoint in Maine should be eligible for ARRA funding. The desire to ensure that federal funds are not awarded to projects that would have been accomplished in the absence of such funds should not lead to an overbroad disqualification standard that would prevent expansion and acceleration of an existing FairPoint project.
We appreciate this opportunity to provide our comments and look forward to continuing to provide additional input as requested by the FCC as it consults with the NTIA and RUS in the implementation of this important component of the ARRA.
Yours truly,
Sharon Reishus Vendean Vafiades Jack Cashman
Chairman Commissioner Commissioner